Rochester, New York
1819 E Ridge Rd
Rochester, NY 14622
(585) 467-4110

What Is Workers’ Compensation Insurance? January 18, 2019

Rochester, Rochester, NY
What Is Workers’ Compensation Insurance?, Rochester, New York

Business owners can purchase a number of commercial insurance options designed to help mitigate their risks of financial loss. Although every company has unique coverage needs, any organization with employees can benefit from having workers’ compensation insurance. This type of coverage will take care of employees who suffer an injury or illness while performing their job duties. As an employer, it’s important to understand your responsibility to have this type of policy and how it can protect both you and your employees. Below is a basic overview of what you need to know.

A Guide to Workers’ Compensation Insurance

Who is required to get workers’ compensation insurance?

New York law requires most businesses to have workers’ compensation insurance, even if it only has one employee. Exceptions to this apply to some non-profit organizations, clergy members, people who are covered by an alternative workers’ compensation program, and certain people who perform housework for a single-family residence. However, it’s important to note that even if you’re not required to purchase workers’ comp coverage, it won’t absolve you of your liability if a work injury does occur.

How does it work? 

When an employee is injured on the job, they may file a claim to collect benefits that will help them cover medical expenses and lost wages. In doing so, they give up their right to sue the employer. Thus, this kind of commercial insurance coverage serves an important role in a business’s risk management strategy. A workers’ comp policy won’t cover non-work-related injuries, self-inflicted injuries, injuries caused by alcohol or drug use, or injuries that result from horseplay, a fight the employee starts, or company policy violations. 

What injuries & illnesses are covered? 

commercial insuranceWorkers’ compensation insurance covers a wide range of injuries and illnesses. Some examples include repetitive stress injuries that develop from performing the same physical task repeatedly, lung disease or cancer from exposure to toxic chemicals, hearing loss, broken bones, burns, or mental health issues. 

How are coverage costs calculated?

The cost of workers’ compensation insurance depends on several factors, such as business location, number of employees, the type of work your employees do, and your claims history. The fewer claims you have, the lower your premium will be. To lower your costs and protect your employees, you should make workplace safety your top priority.


Failing to have proper workers’ compensation insurance can result in hefty fines and employee lawsuits. If you are looking for quality commercial insurance products to protect your organization, contact Consolidated Agency. They have been working with business owners throughout Monroe County, NY, since 1988 and remain committed to helping them find the best rates for coverage. As an independent agency, they are able to offer policies from a variety of top industry-rated insurers. Call (585) 467-4110 to request a quote, or visit their website for more information on the commercial insurance services they provide. 

Other Announcements, Events and Deals from Consolidated Agency, Inc.
3 Tips for Renewing Business Insurance, Rochester, New York
As we approach the end of the year, many businesses are getting ready to renew their commercial insurance policies. This essential risk management tool guards organizations against& more
3 Tips to Keep Your Home Safe This Holiday Season, Rochester, New York
With the holidays approaching, travel plans, twinkle lights, and winter storms increase the potential for burglaries, house fires, and roofing damage. Thankfully, you can more
3 Ways to Lower Your Auto Insurance Rates, Rochester, New York
Auto insurance is a necessity for all drivers, yet that doesn't mean you don't want to save money. Thankfully, there are a variety of ways to reduce your rates without sacrificing more
5 Top Factors That Influence Car Insurance Rates, Rochester, New York
The cost of auto insurance varies considerably from person to person. Some pay only a few dollars per month, while others pay thousands per year. Below are some of the key factors more
Why Landlords Need Liability Insurance, Rochester, New York
While homeowners are relieved of all responsibility to their property once it’s sold, landlords are only allowing tenants to occupy the space temporarily. Therefore, they are still more